New Jersey Sues Amazon, Accusing Company of Suppressing Driver Pay and Working Conditions
What happened
New Jersey Attorney General Jennifer Davenport has filed a federal antitrust lawsuit against Amazon, accusing the company of using its dominance over its Delivery Service Partner (DSP) network to keep wages low, limit competition, and create harsh working conditions for thousands of delivery drivers across the state.
According to the lawsuit, Amazon allegedly controls key parts of its DSP program—including routes, performance standards, and contractor policies—while restricting delivery companies from hiring each other’s drivers. The state also claims Amazon retaliated against union organizing efforts and used its market power to suppress worker pay. Amazon has denied the allegations, calling the lawsuit “not grounded in fact.”
The lawsuit seeks damages for affected drivers and asks the court to stop the alleged anticompetitive practices. New Jersey says this is the first state lawsuit to argue that a company illegally maintained a labor market “monopsony”—dominance over buyers of labor rather than sellers of products.
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